A Look Back at 2024 – A Year in Review

Every year the Insolvency Service of Ireland publishes its annual report which provides insights on the key trends. The report is an ideal tool to see what happened in 2024 in the context of how Irish people have dealt with their debt. Many households continued to feel financial pressure, but there was also progress and hope. The latest ISI annual report shows a marked increase in those who are taking steps to get their finances under control (compared to 2023). But despite this, 19,000 mortgages remain in long term arrears. The infographic below shows the key statistics.

Here are some of the key takeaways from the report, explained in plain English. (the full report is available to download here)

Everyday Life Is Still Expensive

Even though inflation (the rise in prices) slowed down a bit in 2024, the cost of living in Ireland is still high. Since January 2022, prices have gone up by about 15%. On top of that, mortgage interest rates are higher than they were a few years ago. Many people are now paying more than 3.8% interest on their home loans—up from just 2.76% back in 2022.

This means that for many families, it’s harder to keep up with monthly bills, mortgage payments, rent, and utilities. It’s not just stressful—it can take a real toll on your mental and physical health.

More People Are Asking for Help

In 2024, more people have reached out to use avail of the various debt solutions. For example:

• Personal Insolvency Arrangements (PIAs) went up by 28%. These are especially helpful for people struggling with mortgage debt.

• Debt Relief Notices (DRNs) increased by 48%. These help people with low income and small debts get a fresh start.

• Protective Certificates, which give people breathing room from creditors while they work out a debt solution, also went up slightly.

This increase shows that more people are aware of the various solutions and are using them to take control of their finances.

The Abhaile Scheme is Making a Difference

One of the main ways people learn about debt solutions is through the Abhaile Scheme. This government-funded programme offers free financial and legal advice to people who are behind on their mortgage payments. McNamara & Associates is on the Abhaile panel and the majority of consultations held with us come under this scheme.

In 2024, nearly 2,000 people got free vouchers for help from a Personal Insolvency Practitioner (PIP), and over 1,300 of those vouchers were redeemed. That’s a 23.9% increase from the year before.

The Abhaile Scheme also introduced a second voucher option in 2024, which means people who are still struggling three years after their first voucher can get more help.

The representative sample from the Abhaile Deep Dive in 2024 shows that, of those borrowers who availed of a PIA, 100% had terms which saw them remain in their family home while 28% of borrowers had a reduction in their mortgage debt through a write-down of the principal

Courts Are Helping People Too

Sometimes creditors (like banks) don’t agree to the debt solutions that a PIP proposes. That’s where Section 115A comes in. This part of the law lets the courts review rejected proposals to make sure that proposals are given due consideration and, if appropriate, approve an arrangement even if the bank has voted against it.

In 2024, there were 380 court review applications—a 7% increase over the previous year.

Final Thoughts

Debt can be overwhelming. But 2024 showed that when people reach out for help, there are real solutions that work.

If you or someone you know is struggling with debt, McNamara & Associates is here to help. You’re not alone, and it’s never too late to get back on track.

Contact us today for a no obligation chat.